Council rolls out first bi-weekly price survey to counter inflation
(May 07, 2008)
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The Consumer Council today (May 7)
unveiled the results of its first bi-weekly price surveillance on
staple foods and daily necessities, in a move to help relieve
consumers against inflationary prices.
The primary goal is to enhance price
transparency in the marketplace in times of inflation, and to
provide consumers with price indications in shopping.
The Council will conduct surveys to
compare the prices of a range of commodities at different retail
outlets - (a) the major supermarket chains, (b) the small chains
and individual grocery stores, and (c) the personal care chains and
drugstores.
It will focus on one district at a
time; stores in the district will be compared against others with
customers from the same demographic area. The basket of products
will also be changed each time to ensure reliable price
comparisons.
In the first bi-weekly survey,
conducted in the district of Wanchai, were included the prices of
15 commodities collected from 13 different outlets earlier this
(Wednesday) morning.
Results of the price-comparison
survey reflected more or less a similar pattern of price
differences amongst these retailers. Price differences to the
extent of 1.7% to 65.8% were recorded in all items.
Generally, the major supermarket
chains are charging more for a number of items than the smaller
grocery and drugstore outlets. However, occasionally, lower prices
can also be found at big supermarket outlets especially when they
offer the items as "specials".
The most noticeable price difference
was found in the case of a brand of highly popular item, fried dace
with salted black beans 227gm. It was sold for $19.9 at 1
supermarket chain outlet, whereas the same item could be bought for
only $12 at a grocery store.
This price differential between the
highest and the lowest represents a significant $7.9 or 65.8%
saving for a hard-pressed household budget in times of inflation.
Price savings could be found at the other outlets surveyed for the
same item with prices at $14, $16.9, $17 and $18.9.
Following closely with high price
differential was a brand of rice vermicelli 400gm ranging in price
from $5 (at a frozen food store) to $7.4 (at 2 supermarket chain
stores), a saving of $2.4 or 48%.
Other notable price differences
included: chicken broth 1 litre $11.9 to $16.9 ($5 or 42%); corn
starch 420gm $5.5 to $7.5 ($2 or 36.4%); condensed milk 370gm $9.2
to $12 ($2.8 or 30.4%).
Included in the survey were 1 brand
of Thai fragrant rice 5kg from $43.9 to $48.5 (a price difference
of $4.6 or 10.5%), and a corn oil 946ml from $32 to $37.9 ($5.9 or
18.4% price difference).
In the survey, one of the supermarket
chain stores managed to score the lowest price of all outlets in 1
item - sesame oil noodle 100gm at $2.8.
It is noted that if consumers are
prepared to accept bulk purchase - a sale tactic increasingly used
by supermarket chains on some products - the price per unit will
become notably lower.
The survey clearly shows that by
shopping around and comparing prices consumers intent on beating
inflation can achieve savings in the purchase of daily
necessities.
Though important, price is only one
factor taken into consideration by consumers who may very well have
other preferences in their shopping.
Results of the price survey are
available for reference of consumers at the Council's website at www.consumer.org.hk/pricewatch,
its Consumer Advice Centres as well as the Public Enquiry Service
Centre of Wanchai District Office.
Price comparison report
(Chinese only) :
Microsoft Excel
format/
PDF
format
Issued by
Consumer Council
7 May 2008
